Bitcoin this weekend [BTC] managed to increase by 8.6% from $59.1k to $64.2k. After reaching this local high on Sunday, June 7, Bitcoin tested the same resistance zone around $64.2k the next day.
Since then, the bulls have had no luck pushing the price higher. There is a chance of a Bitcoin bounce, but traders and investors should remember that the bias on the higher time frame remained firmly bearish.
Short-term demand for BTC is not enough to offset loss selling
After the sale until Friday June 5, the initiative seemed to return to the buyers. Crypto analyst Axel Adler noted that net taker volume saw an increase over the weekend, pushing prices up to $64,000.
Still, the current price rally, like the brief buying period following the May 24 sell-off, may not extend significantly beyond that.
The analyst also showed that Bitcoin’s realized gain/loss 7DMA was negative for 22 consecutive days. Furthermore, the measure did not reach levels close to the historical bottom of realized losses.
Together, these findings underscored the tension in the market and the capitulation phase that was underway, with sellers panicking and selling at a loss.
Bitcoin price prediction based on price action
The 4-hour chart showed a solid bearish structure. The current bounce has not reached any of the key Fibonacci retracement levels such as $66.8k or $71.2k.
Sellers moved their positions at a loss and sentiment remained extremely bearish. A Bitcoin bounce above $70,000 doesn’t seem likely at this point, but it is a possibility that investors should be prepared for.
The most likely scenario is a bearish continuation from the air supply zone at $65k-$66k.
Final summary
- Bitcoin nettaker flow has moved into positive territory this weekend, but this may not be enough to reverse the pessimistic Bitcoin mood.
- The 4-hour chart indicated a possible price increase as high as $71.2k, but the overall trend remained firmly bearish, and a rise would not be a sign of a trend reversal.